Having analyzed the Electric Vehicles and the Plug-In Hybrid segments, let’s look at the final Alternative Power segment: regular hybrids. This segment is the most well-established of the three, with sales in the first half of 2017 almost twice as high as sales in the other two segments combined. As a result, the growth in the segment was not as high as for the other two, but 24.9% is nothing to be sneered at, as it was still higher than any non-Alternative Power segment bar the SUV Premium Compact segment.

Having analyzed the Electric Vehicles segment, let’s look at plug-in hybrid electric vehicles, or PHEVs for short. The segment enjoyed a growth rate of 61.6%, the highest of all segments, though its total sales remain below those of pure Electric Vehicles, at just over 40,000 in the first half of the year.

Sales of Alternative Power cars in the United States increased by a substantial 32.2%, a rate of expansion considerably faster than that of the second fastest-growing segment, SUV Premium Compact. Comprising of regular hybrid, PHEV (plug-in hybrid electric vehicles) and EV (electric vehicle) segments, Alternative Power cars ended the first half of 2017 with almost 260,000 cars sold, more than the Subcompactsegment, and not far off the Minivan segment. For accounting purposes, keep in mind that we classify many of the Alternative Power cars in other segments too e.g. Toyota Prius liftback figures in the Compact segment, while Ford Fusion PHEV figures in the Mid-sized segment. At least part of the reason for this growth is that EVs and PHEVs continue to benefit from Federal and State rebates, which lower their price even before consumers consider the lower cost at the pumps/mains.

First, let us look at the EVs segment, which grew by 41.2% in the first half of 2017, to a total of 45,150 cars.

Sales of Alternative Power cars in the United States increased a hopeful 47.2% in the first quarter of 2017 to 41,132 units, or 1% of the total US market. This is a combination of a 39.4% growth for EVs to 21,379 sales and a 56.7% growth for PHEVs to 19,753 sales. The EV segment is still slightly larger but the PHEV segment grows faster and is catching up, as especially luxury brands are entering this niche of the market before making a switch to full electric models. While regular (non-plug in) hybrids are struggling due to low gas prices, EVs and PHEV continue to benefit from Federal and State rebates that stimulate sales of these vehicles. And new entrants will keep arriving in showrooms this year, so expect the growth to continue.